Foxconn suggests it could manufacture all USA iPhones outside of China

Apple has sufficient iPhone production capacity outside China to meet the needs of the US market.                  Angela Lang  CNET

Most of this manufacturing occurs in China, where Foxconn operates 12 factories spread across nine cities.

Apple has sufficient iPhone production capacity outside China to meet the needs of the U.S. market.

Foxconn, one of Apple's largest suppliers, has moved to reassure consumers and investors that prices and supplies of the Apple's iPhone will not be affected by the ongoing US-China tariff war.

He touted the group's ability to tackle what he called an "increasingly tough" situation amid the trade war, citing the company's production bases in 16 countries.

Tim Cook, meanwhile, has publicly said that he's not anxious about an escalating trade war with China, telling CBS News last week: "The Chinese have not targeted Apple at all, and I don't anticipate that happening, to be honest".

Shares in Foxconn, formally known as Hon Hai Precision Industry Co Ltd, have dropped around 20% since Gou announced in April his plans to run for president.

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"We have enough capacity to meet Apple's demand", Liu added. The trade war has disrupted a complex global supply chain involving many countries beyond just China and the U.S. Many components that go into devices aren't made in the U.S., despite being designed there.

Apple shares were up more than 1% to $194.99 in NY on Tuesday.

The Hon Hai official also revealed that the company is now investing in its Indian production facilities, suggesting that if needed, more of the iPhone output could come from this country if things get more complicated in China for Apple.

Foxconn would need at least one or two big factories outside China dedicated to serving Apple's USA requirements, Mawston estimated. Foxconn is now running quality tests for the iPhone Xr series there and plans to begin mass production at a facility in the suburbs of Chennai.

At the briefing - which was first reported by Bloomberg - Liu said the company was investing in India, where several older iPhone models are already made at a plant in Bangalore.

Liu said the Wisconsin investment, which is expected to reach $1.4-1.5 billion with up to 2,000 employees by end of 2020, was on schedule.

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